The farming situation in Goulburn Valley - possibly changed

[Barry G]

Surely CCA was going to close the plant anyway - they just wanted a free kick on the way out. Just like Ford & Holden. If a business is unprofitable, what difference is $25 mil? If the business is worth investing in, CCA would have already done it.

SPCA has been dying for years, as have the orchards around it... It's very sad, but true.

The Riverland lost its cannery (Berri) many years ago. The juice factory shut down about 5 - 6 years ago, and at the sametime, the regions largest transport company shut down due to loss of business from the juice factory. Whilst it is sad, why does the govt need to step in? They didn't step in for Berri, or Fletchers in our area... Businesses shut down every day. Fact!

Australian agriculture is struggling against imports, and whilst we produce very high quality fruit and veg, it is hard to be competitive on an international market with our wage and shipping costs.

The 2x $25mill contributions from state and fed were to go with $90mill contribution from CCA to re-equip the plants to produce products in modern paging that they can't at present.
So, clearly not a case of looking for a 'free kick' on the way out.
Why, step in? Because this is the last manufacturer in the field.  Lose this and the industry and expertise is gone for good.

[Barry G]

why not just give the 25m direct to the likes of the CFMEU organisers and Craig Thompsons girls, save a lot of mucking about 

Serious ?.....................give the union controlled super fund 25m equity for no benefit ??

Protection of aust jobs needs to be a priority, we should do that by starting to understand we ALL have our snouts in the trough

Workers, Unions and so called managers need to agree the party is over and there is some serious reassesment of our potential as a country to be done

Having witnessed first hand the ideological based destruction of an industry by Unions who thought they were more important than their members, Im a bit of a cynic

I suggest SELL $25mill in equity to the super fund.  I.e. the super fund INVESTS $25 mill into the SPCA business.
Industry based super funds are excellent managers, consistently producing better results than the fee gouging bank / finance industry run funds.

What I am suggesting is a genuine 'co-investment' and the workers at the plant, who even the local MP says are hard working, would have a dual reason to make it work.

I get that some of you don't like unions, but this is nothing to do with either the CFMEU or the Thompson's mob.
By the way, interesting that you didn't include the criminal company managements involved in the current allegations against a couple of CFMEU employees.  The boss criminals are always ignored by those with their own ideological barrow to push.

[Bird]

Whilst it is sad, why does the govt need to step in? They didn't step in for Berri, or Fletchers in our area... Businesses shut down every day. Fact!

Its prop up business and have some form of sustainable economy or pay unemployment to people who on that benefit wont be able to support their family and rent, and or mortgage, schooling, housing and you end up with a country that nothing but a slum. Then suicides go up as well. People cant cope - city or country.

Australian agriculture is struggling against imports, and whilst we produce very high quality fruit and veg, it is hard to be competitive on an international market with our wage and shipping costs.

agree 152389052834959234853498%

[lino6]

IMO we (people) are our own worst enemy. We look for bargains, want things as cheap as possible. That whole "I can buy 5 of this compared to the expensive one and surely 5 will last longer" attitude (which I am guilty of) means that we buy the cheap Chinese knock offs. No matter how hard I try, I still find myself looking on ebay for something cheaper....

It is everyone's right to spend their hard earned how ever they want. But until we as people just stop buying the imported stuff and start buying locally made, manufacturing in this country only has one way to go. Granted, that is easier said than done given that there are only 2 cars that will be made in Australia after 2016, and I have no idea how to fix the problem.

I feel for all the local growers around her who are 2nd or 3rd generation growers who now might have to give up their farms because hey have no where to sent it. Maybe we could find another use for fruit? And open a fruit canon factory (but then I suppose the Chinese will copy it and make a cheaper version and the circle starts again.....).

[sschmez]

Not sure our government should prop up any industry.

If Ford or Holden produced the sort of car we wanted we'd have bought it at the right price.

No-one seems to eat canned fruit these days, they should've seen that trend years ago and diversified their way around it .. good business management.
Sorry workers, but really you're not the first who have had to find a new job, even I've managed a couple of times. Some of those who "can't" find a new job will stay on handouts but others will make a new job for themselves (and possibly others) circle turns again.

So, who has bought a tin of fruit in syrup in recent memory - clearly not enough

Stevo

[Pog]

I feel for all the local growers around her who are 2nd or 3rd generation growers who now might have to give up their farms because hey have no where to sent it.

Farmers are resilient people. They generally find a way to get through this type of thing.

People have to eat! Lets grow the food that they need. I live in an area where about 70% of the plantings are wine grapes. Do we need Winegrapes? I know they make wine... Yes, we need wine.! BUT, the Riverland produces bulk hot climate Winegrapes, which are quite frankly sh!t. Growers are paid accordingly.

Now a lot of growers around here this year are whinging  that the prices are just about below the cost of production. What some of the good growers are doing, is diversifying. Planting apples for cider. They Cider market is growing exponentially at the moment. Plant almonds, a protein source that the world is short on, and returns are quite good.

Plant vegetables, yes more work, but people have to eat.

Whilst the impact on Shep and the surrounding areas will be quite hard for the first couple of years, there will be new businesses that will be created to fill a gap in the market left by SPCA. In the long term, this might be a good thing.

No one through money a Berri fruit juice to stay open in the Riverland when they shut down about 6 yrs ago, and then the local transport mob with 100 trucks shut down because of that, and no one else threw money at them to keep them open... Everyone was sad, but ultimately moved on to other employers in the area, or moved from this area to another.

Life goes on.

[Bird]

I would love to see the Gov have some balls and tell importers of produce that we can grow here to **** off...

Then the Farmers Federation and farmers with the backing of OUR PISS WEAK Gov, give the massive finger to coles/woollies and open up a chain of Farmers Markets.

I'd much rather pay up the arse direct to a farmer for ACTUAL fresh produce than some ****in coles/woollies shareholder.

[Bird]

Shit like this has to stop....

"A controversial Productivity Commission report to open the door to cheap second-hand imports could make cars thousands of dollars cheaper, but there are dangers."
http://theage.drive.com.au/motor-news/car-prices-could-tumble-if-pc-recommendation-adopted-20140131-31s33.html

[BigJules]

I am in no doubt that the Govt should have kicked the tin on this one. Firstly and most importantly what we're talking about here is good production. You can start a car plant from scratch in a couple of years, but orchards take a decade. We worry about selling off prime agricultural land and businesses to foreign firms and then let companies like SPC go to the wall.

Secondly, there is not a lot of alternative employment opportunities in the production areas that will be affected. No job=welfare. But hang on, this Govt wants to cut welfare. It would be far cheaper and a better solution all round to keep the community employed than to simply support them through welfare. Sure, there are those who abuse it, like most systems, and there are those who have been on welfare for a long time, but some people live in areas where there just are no bloody jobs.

I can live with no local vehicle manufacturing but for us to lose another food manufacturer scares the hell out of me.

I'll be in Shepparton on Monday/Tuesday, am interested to feel the mood there.


Julian

[BigJules]

CCA were going to put in $156M or thereabouts.


Julian

[Bird]

I am in no doubt that the Govt should have kicked the tin on this one. Firstly and most importantly what we're talking about here is good production. You can start a car plant from scratch in a couple of years, but orchards take a decade. We worry about selling off prime agricultural land and businesses to foreign firms and then let companies like SPC go to the wall.

Secondly, there is not a lot of alternative employment opportunities in the production areas that will be affected. No job=welfare. But hang on, this Govt wants to cut welfare. It would be far cheaper and a better solution all round to keep the community employed than to simply support them through welfare. Sure, there are those who abuse it, like most systems, and there are those who have been on welfare for a long time, but some people live in areas where there just are no bloody jobs.

I can live with no local vehicle manufacturing but for us to lose another food manufacturer scares the hell out of me.

exactly my sentiments.. well said

[ras]

I wonder how much government money was spent on updating irrigation infrastructure in this area?

So we have one arm of government spending on water infrastructure, while another arm of government shows no real interest in maintaining an existing industry.

If all the trees are destroyed, why did we spend on the water infrastructure in this area?

The other factor people need to realise is this.. Do you really want more and more of your food to come overseas? What happens when our fruit comes fresh from china?

I dont know about you, but i dont really want to eat fresh food from china. Remember the chinese baby formula? And the chinese pet food?

I feel for the people in Goulburn Valley.. Potentialy another victim of blind ideology which we seem to follow in Australia.. A one of $25m payment could potentially be easily be swallowed up by ongoing increases in social security payments, not to mention the personal misery for the people affected.

Ras


Sent from my iPad using Tapatalk HD

[Mace]

I wonder how much government money was spent on updating irrigation infrastructure in this area?

$153.6 Million.

http://irrigation.org.au/documents/publications-resources/conference_papers_2009/201009_Session7_KevinPreece2.pdf

However, it's jointly used by dairying and other intense agricultural producers.

The local Government is keen to get Vegetable farmers from the Werribee area to move up there to produce fresh vegetables for the Melb market.

[Pog]

CCA were going to put in $156M or thereabouts.

Julian

They still can... It's THEIR business.

$25million could do a lot to our local hospitals, schools or roads around here...

[Pog]

I wonder how much government money was spent on updating irrigation infrastructure in this area?

If all the trees are destroyed, why did we spend on the water infrastructure in this area?

The govt didn't really spend $153 million on water infrastructure. About half of that was actual water buy backs that goes to the Commonwealth environmental water holder. This is a purchase of water licences (assets from growers). Also part of the claimed spending would be cash and 'in kind' work provided buy the farmers and used by the Govt to Mae the total spending look better.

Anyway, the water issue is a National issue and needed to be fixed. The stoneage irrigation systems of the Goulburn have finally started to resemble 21st century irrigation systems, something we have been using in SA and the lower Murray for the last 20 years.

The trees will still produce, and growers will innovate new markets to survive.

Throw $25 million at CCA now, and then every other non viable business that puts their hand up for money will expect it.

South Austrailians are still Shitty with the Govt for throwing money at Mitshubishi, only to have them leave within a couple of years - with no thanks.

http://www.smh.com.au/articles/2002/04/26/1019441295541.html

[Mrs smith]

The govt didn't really spend $153 million on water infrastructure. About half of that was actual water buy backs that goes to the Commonwealth environmental water holder. This is a purchase of water licences (assets from growers). Also part of the claimed spending would be cash and 'in kind' work provided buy the farmers and used by the Govt to Mae the total spending look better.

Anyway, the water issue is a National issue and needed to be fixed. The stoneage irrigation systems of the Goulburn have finally started to resemble 21st century irrigation systems, something we have been using in SA and the lower Murray for the last 20 years.

The trees will still produce, and growers will innovate new markets to survive.

Throw $25 million at CCA now, and then every other non viable business that puts their hand up for money will expect it.

South Austrailians are still ****ty with the Govt for throwing money at Mitshubishi, only to have them leave within a couple of years - with no thanks.

http://www.smh.com.au/articles/2002/04/26/1019441295541.html

Well said.
Given time time I'm guessing it'll open the market up for a small co-op of growers
to maybe have a go on there own. It's already happened with milk.

[Bird]

They still can... It's THEIR business.

$25million could do a lot to our local hospitals, schools or roads around here...

and if this cannery and all the farms go broke and all the shops that sell farm equipment, farm supplies, shops that sell food to these people, and dozens of other business' that will go broke..
how much more do you extra instantly do you think will be dished out in dole payments, family assistance, rent assistance, etc etc.. 50-60 million?

[Pog]

and if this cannery and all the farms go broke and all the shops that sell farm equipment, farm supplies, shops that sell food to these people, and dozens of other business' that will go broke..
how much more do you extra instantly do you think will be dished out in dole payments, family assistance, rent assistance, etc etc.. 50-60 million?

This happens in Agriculture, this isn't the first processor to close.

All the farms won't go broke...

The area will get over it - eventually.

I think this is an over reaction.

[disco2]

'No-one seems to eat canned fruit these days'

WOW. Now that is a statement and a half. Don't know what planet you are on , but walk into any large/ small supermarket chain store, let alone a small corner store and you will find canned fruit.

When did I last open a tin of fruit. Today -  to make a pie.

Cheers

[Barry G]

SPCA realise that tinned fruit is not a growth area, THATis why they want to re-tool for modern plastic packaging.

[02-SR5]

and if this cannery and all the farms go broke and all the shops that sell farm equipment, farm supplies, shops that sell food to these people, and dozens of other business' that will go broke..
how much more do you extra instantly do you think will be dished out in dole payments, family assistance, rent assistance, etc etc.. 50-60 million?

Again, why should the tax payer fund a multi million business that can't seem to run a business.

Why is it our fault, as a tax payer, to bail out companies.

Sorry mate, it seems you have missed the point here.

[lino6]

It's a bit like damned if you do and damned if you don't. I don't think a profitable company should be asking for hand outs to bail out one arm of the company. But I can't help but worry where all the people who work there will get employment. So much has closed around here over the years. All anyone can do I suppose is hope for the best.

Sent from somewhere on something with that tap thing

[Bird]

Again, why should the tax payer fund a multi million business that can't seem to run a business.

Why is it our fault, as a tax payer, to bail out companies.

Sorry mate, it seems you have missed the point here.

Not at all - not even a good try..

The snowball effect is the problem

The point is are we better to have mass unemployment and destroy our credit rating, and confidence (if theres any left) in the country..  while we pay these now unemployed the same or more than the gov would invest in this company in dole payments and other handouts or are we better off to assist companies to employ people...

Who cares where the mothership is - it cant be in Aust, theres no business left here.

The other thing is if this cannery (or Holden - Ford ) stays open, then the 100 small business and 60 medium and 200 large companies that supply them stock will stay open to and no unemployment there...

Its not just SPC that are at risk here...

[Bird]

...but then you get this

Employment Minister Eric Abetz has defended the Coalition's decision to provide chocolate company Cadbury with $16 million of taxpayers' money in the wake of its rejection of SPC Ardmona's bid for government assistance, arguing the Cadbury funds will be good for regional tourism in Tasmania.

Last week, after a meeting of the federal cabinet, Prime Minister Tony Abbott announced his government would not provide $25 million to SPC, reasoning that the business should be responsible for its own "restructure". This was despite Labor, unions and local Liberal member Sharman Stone arguing that without government help, the fruit grower would not survive, with devastating effects for the north-east Victorian region


Read more: http://www.smh.com.au/federal-politics/political-news/aid-and-abetz-coalition-defends-taxpayer-funding-of-cadbury-20140202-31uop.html#ixzz2s9ejQouR

[ras]

The difference is in the timing. One before and the other after an election.